VIP NEWS >
DECEMBER 2012
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PREMIUM > VOLUME 152 > DECEMBER 2012
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VIP NEWS >
DECEMBER 2012
McGowan’s
Musings
Well here we go with the last News of the
Just in case you’re worried the real Mayan
weather spoilersfor many a festival. Some
year, and if the doomsayers who point to the
expertssay we have nothing to worry about,
Europeanterritories have had a torrid time,
end of a cycle in the Mayan calendar which
so that’s OK – although I wonder if somebody
with French promoters declaring 2012 one of
has been running accurately for over 5000
said that to the Dinosaurs…
the worst years ever, and promoters in Spain and Portugaldesperately trying to pitch
years indicating the end of the World on December 21 are correct, Vol: 152 will really be
Talking of Dinosaurs the Rolling Stones have
ticketsat a price affordable to cash strapped
the last! It causes a bit of a dilemma about
been confounding critics by presenting a
fans. However Germany had a good year,
the Christmas shopping though – should we
couple of barnstorming shows at London’s
the Nordiccountries stayed steady, and the
bother – or shall we wait to see if we wake
O2 Arena with a bunch of top flight guests
UK having braced itself for huge economic
up on the 22cnd and rush out to the shops!
helping to celebrate their 50th Anniversary.
problemsfollowing dire warnings early in
Much has been said about Jagger’s still sylph
the year from the Governor of the Bank of
like figure and energy quite unique for a
Englandhas had a reasonably good year
man of his age. It was noted that the only
apart from several festival organisers going
Stones who aren’t still mean and lean are
into administrationfollowing the wettest
ex- Stones Bill Wyman and Mick Taylor who
summer in a hundred years, and immense
are definitely rounder than the others. So if
competition from The Olympics. The end of
you want to retain a youthful figure become
year figures will look pretty good when the
a permanent Rolling Stone! Bit late for most
Stones returns are included. The US also had
of us though.. Our longest active Rock ‘n’
a good year with commentators observing
Roll band was rapped on the knuckles for
that the majority of tickets were finally
playing 35 minutes beyond the Greenwich
beingpitched at acceptable levels to attract
Council 10.30pm curfew, being fined either
previouslycautious fans.
COLOPHON > VIP-News is published by: VIP-Booking 145-157 St John Street London Ec1V 4PW Managing Director: Ronni Didriksen rd@vip-booking.com General Manager: Peter Briggs pb@vip-booking.com Writer and editorial: Allan McGowan am@vip-booking.com Writer: Manfred Tari mt@vip-booking.com For advertising enquiries please contact: Peter Briggs pb@vip-booking.com +44 870 755 0092
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£200,000 as reported by many or according to Jagger £100,000, quipping, in a reference
So basically you’ll be glad to know although
to very expensive tickets that, “…that’s only
the European overview is patchy – we still
10 front row seats anyway!”
have a functioning industry – and we hope all your individual parts of that industry have
So apart from the fortunes of the seemingly
fared as well as they might in difficult times,
indestructible Stones, it’s not been the best
and will continue to do so in 2013 – as usual
of years for the live industry; after some
let us know! For those of you that celebrate
very good years of being the cash cow for
it, have a great Christmas, and Ladies and
the musicindustry the dark clouds again
Gentlemen, just before I go off to shout,
began to gather both metaphorically as
“You deserve it!” at an iced-up seagull, here
indicatorsof the economy and in reality as
is the News!
VIP NEWS >
DECEMBER 2012
Finland’s Weekend Festival Fined Allan McGowan am@vip-booking.com A court in Finland has imposed fines upon the organizers of the Weekend Festival ,
Organizers of the Weekend Festival in Finland fined
which featuredDavid Guetta, held in Luukki , Espoolast August. The promoter was RLE, and DirectorsHardi Loog and John Rugemalira were given 10 days in which to pay the fines. The local police had claimed that the organisers had not complied with designated public meeting regulations, and although not specifying any particularinfringement, claimed that there were flaws in basically everything including traffic control , the amount of security and overall operation during the festival. Police Inspector Henrik Niklander told local
press, “We were forced to give notice to the
for the better. Therefore we saw that we
organizers but they didn’t make changes
couldn’t let the situation get any worse”.
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13.11.12 18:32
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VIP NEWS >
DECEMBER 2012
Sonic Visions 5th Edition Allan McGowan am@vip-booking.com
From left: Jake Beaumont-Nesbitt, Executive Director-IMMF. Volker May, Head of Booking & Events FZW Event. Carl Blom, CEO Flagstone. Stuart Worthington, IMMF and MMF Training
The Rockhal venue in Luxembourg again
for many touring international artists. (On my
Each day ended with a keynote speech: Firstly
hosted the 5th edition of the Sonic Visions
first night at the Rockhal I saw the extremely
Stuart Worthington (IMMF – International
conference and showcase festival on 23
good Zappa plays Zappa perform a sold out
MusicManagers Forum) gave an overview
and 24 November. 250 delegates, including
show.)
of today’s music industry landscape and
representativesfrom 15 countries and VIP-
discussedthe exciting opportunities for artists
News for the third time, attended the event
However Sonic Visions is providing a focusand
and their central role in working with a team
to follow through on the theme “It’s all about
the panels were well attended by both local
to determine their own creative business
the artist”
musicians from Luxembourg and the Greater
direction. On the second day Carl Blom (Chair
Region with artists crossing the borders MMF Sweden, CEO Flagstone Sweden, and Since its inception Olivier Toth, Thomas
from France and Germany and visitors from
manager of The Hives) talked about the role of
Roscheck, Sam Reinard (who also performed
Belgium. Topics covered ranged from the local
the manager in the development of an artist’s
with his band at the Festival) and the rest of
situation; Luxembourg Music Talk: Musicians
career. He also discussed the relation between
the Sonic Visions crew have worked hard to
& Music professionals from Luxembourg in
the artist and the manager and technical
provide a foundation for a fledgling music
2012, and general information on how to de-
topicssuch as the different revenue streams
industryfor Luxembourg. Government and
velop and build a career; Touring: Tips & Tricks
and income models as well as certain legal
localmedia (RTL is of course based in the
from those on the road, The DIY Panel or
aspectsof the manager’s work.
country) are supportive and there is now an
what you need to know about going it alone;
Export Bureau run by Patrice Hourbette, late
ways to earn money with my music: Licensing,
Nearly 5.000 fans attended the two-day Festival
of the London office of the French Export
Games, Touring and more, plus meeting the
featuring headlining bands The xx, C2C and
Office. However it is not an easy task to build
right person or how to put in place the best
Django Django. New talent included Elektro
up all the various expertise required to create
team for your project. Chairmen included Olaf
Guzzi from Austria and Belgian artist Oscar &
and stimulate both a domestic market and an
Furniss of Edinburgh based Born to be Wide
The Wolf as well as the Luxembourgish acts
export market, much as this country of only
and yours truly.
Monophona, Natas Loves You, Say Yes Dog
half a million people is an established location
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and Hal Flavin. Sonic Visions looks set to grow.
January 26-29th, 2013 Palais des Festivals Cannes / FranCe
There’s no better place to start off a new year than midem, the top deal-making event for the music ecosystem. It’s the only place where you’ll find 7,000 upper-level music professionals, cutting-edge technologies, brands, ad agencies and fresh artists. Source music content, innovate to engage your audience, learn the latest trends : it’s all at midem. Will you be?
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(special rates for young companies, artists and students)
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VIP NEWS >
DECEMBER 2012
Isle Of Wight Festival Retains Licence Allan McGowan am@vip-booking.com
Following a two day licensing committee
The Festival Licence Review Committee In the end both the Committee and the
review, which upheld the event’s current
decidedthat in future promoter John
licence, The Isle Of Wight Festival will go
Giddingswill be required to make public “fit for purpose” as it currently stood, and
ahead in 2013. Local aerospace firm GKN
an Event Safety, Operational & Traffic
Giddingsagreed to invest in improving the
called for the consideration of the licence.
Management Plan.
local infrastructurearound the festival site
The Companyargued that the festival
Policesaid that they felt the licence was
to hopefully avoid similar problems next
should be licenced on an annual basis, to be
At the hearing, promoter John Giddings
year if there is another occurrence of very
reviewedevery five years after consultation
claimed that the GKN changes would make
wet weather. Parking charges are to be
with local residents and businesses. Presently
long-term
improvements
introducedin future in the hope that more
the licence is issued on an ‘in perpetuity’
financiallyunviable for his company to cover,
ticket-buyers would choose to access the
basis.
and may result in him not staging a festival on
festivalby public transport.
infrastructure
the island at all. He told the Committeethat The objections resulted from the problems
an alternative site on the English mainland
The 2013 edition of the festival will take
caused by bad weather this year, causing
not subject to the Isle Of Wight Act and out
place from 13-16 Jun.
extensive traffic tailbacks across the island’s
of their control, had already been found. He
road system as a result of festivalgoers trying
concluded: “I’m willing to put my hand in my
to access the festival site by car. Some had to
pocket, but if you don’t want us to, just tell
sleep in their cars, or even remain on ferries,
me and we’ll go away”.
unable to disembark due to the jams.
Isle Of Wight Festival
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VIP NEWS >
DECEMBER 2012
European Border Breakers Awards 2013 Allan McGowan am@vip-booking.com
The 10 winners of the tenth edition of the European Border Break-
winner and the act that receives the most votes will go on to win the
The winners of the European BorderBreakers Awards 2013 are:
Public Choice Award’.
Nabiha (Denmark)
ers Awards 2013 have been revealed. From now until December 21, 2012 the European public can vote for their favourite EBBA Awards
Ewert and The Two Dragons (Estonia) Danish singer Nabihawinner of the EuropeanBorder Breakers Awards 2013
French Films (Finland) C2C (France) Emeli Sandé (Great Britain) Of Monsters and Men (Iceland) Dope D.O.D. (Netherlands) Amor Electro (Portugal) Juan Zelada (Spain)
Anzeige_VIPMag_ProSky_X4.pdf
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09.12.10
10:43
Niki and the Dove (Sweden)
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CM
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VIP NEWS >
DECEMBER 2012
MUSE Cancel Shows
Matt Bellamy from Muse
Allan McGowan am@vip-booking.com
Muse frontman Matt Bellamy has broken his foot forcing the band to cancel three shows on their European tour in Oslo, Stockholm and Malmo. The tour is expected to restart with a show in Helsinki on 10 Dec. A message on their website stated, “The band have made the difficult decision to cancel these gigs as they feel that they will not be able to do justice to their live show, and the fans who have bought tickets, with Matt performing on crutches. Matt’s progress will be monitored over the next few days, but the remaining dates on the tour are still scheduled to go ahead as planned”.
IMAGINE if you could go to one website and learn ALL about the European Live Music Industry?
WELL YOU CAN! www.vip-booking.com
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VIP NEWS >
DECEMBER 2012
Festival Awards UK – and Conference Allan McGowan am@vip-booking.com
Conference
agreed and also stressed that Mobile Network
of
coverage must be improved at Festivals, and
Sonisphere, were up beat about prospects for
As I downed my dinner last night (Dec. 3) in
that Wireless must really work.
the industry. Galbraith also told one delegate
London’s Round House (a venue which means
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the
travelling
heavy
metal
festival
in the room who had asked a questionabout
a lot to me having seen many great bands
Good
includingPink Floyd, The Doors and The Who
everythingfrom solid pre-planning, insuring
practical
advice
was
given
on
arrangements for concessionaires, “After 30 years of attending Conferences I’ve
there in my long distant and probablypartially
and evacuationprocedures in a session
learned that you don’t get answers – lots of
wasted youth!) I was quite surprised to be
called, ‘When Lightning Strikes’. Continuing
discussion, but no real answers!”
remindedthat this was the 9th edition of the
the themes of the major problems in terms of
UK Festival Awards. It still has the feel of a
weather – the wettest summer in the UK for a
All the various areas of difficulty considered
developing event – probably no bad thing in
hundred years – the economy, and increased
responsible for the poor results of many
such a volatile and vital sector of the business.
competition from The Olympics etc, Gordon
festivalsin 2012 are very well covered in
Masson, Editor of IQ Magazinechaired a
the UK Festival Market Report, compiled by
The first Conference session I attended
panel called, @The Festivals Emergency UK Festival Awards in association with CGA
addressed‘The New Bottom Line’, basically
Board Meeting.’ Tony Scott of Guilfest which
a discussion on ‘where else can we make
went into administration this year after 20
some money?’ – very important as the
years of running his event, warned that we
economy remainsuncertain pretty much
could have 10 years of really bad weather –
The Awards
everywhere.
Organisers
strongly
remindingeveryone that the River Thames
Half a million public votes combined with
advisedto approach prospective partners
used to freeze over! However he declared
those of official judges to determine the
in new collaborative commercialventures
himself still optimistic whilst preparedto work
winners. In a good evening for independents,
as soon as possible by Universal’s Head
from the worst scenario. Andy Redhead ,
Bestival, won ‘Best Major Festival’ adding to
of Broadcasting Services, SarahVerrell,
Head of Production for SJM Concertssaid
a string of Awards marking every stage of
and this was backed up by PatrickWalker,
that “…it’s in the promoters nature to
the event’s rapid development. Founded by
Senior Director of Content Partnerships
worry.” Overall the members of the panel,
BBC Radio 1 DJ Rob Da Bank, who also took
EMEA, YouTube/Google. Brian Grew, V.P.
includingStuart Galbraith of Kilimanjaro Live
part in the Emergency Board Meeting panel
Commercial
who was forced to cancel this year’s UK leg
earlier , first won ‘Best Medium Festival’ in
Partnerships,
were
Strategy. www.cgastrategy.co.uk
Live
Nation
VIP NEWS >
DECEMBER 2012
2012 Awards Winners: Best Major Festival:
Bestival
Best Medium-Sized Festival:
Bloodstock Open Air Festival
Best Small Festival:
Y Not Festival
Best New Festival:
Festival No 6
Best Dance Event:
GlobalGathering
Festival No. 6, staged at Portmeirion in
Best Metropolitan Festival:
Camden Crawl
Wales, took the title of ‘Best New Festival’
Best Family Festival:
Latitude
The Grass Roots Festival Award:
Green Man
Best Overseas Festival:
Benicassim (Spain)
The Greener Festival Award:
Croissant Neuf Summer Party
Best Line-Up:
Download
The Extra-Festival Activity Award:
Live From Jodrell Bank
Lodestar from presenter Phil Jupitus, Alex
Best Toilets:
Lodestar
Hardee used the opportunity to propose
Agency Of The Year:
William Morris
ovation– happily she said yes!
Promoter Of The Year:
Gareth Cooper (Festival No 6, Beach Break, Lollibop)
Live Nation’s Chief Operating Officer, John
Concession Of The Year:
Paelleria
Probyn, received the Lifetime Achievement
Best Brand Activation:
Southern Comfort Juke Joint
John Probyn won the Lifetime achivement award
2005.
in its very first year., racking up further successes with festival organiser Gareth Cooper picking up ‘Promoter Of The Year’, and New Order, who actually turned up to collect the prize for ‘Headline Performance Of The Year’ at Festival No. 6. Picking up the Award for Best Toilets for
to girlfriend Eloise, resulting in a standing
Award. In his acceptance speech Probyn said that it didn’t seem that he’d been in the
Headline Performance Of The Year: New Order at Festival No 6
business for any time at all, it was only when
Best Breakthrough Act:
Jake Bugg
Anthem Of The Summer:
Django Django - Default
Lifetime Achievement Award:
John Probyn
Awards co-founder Steve Jenner referred to his past when making the presentation that he realised quite how long he’d been around. He thanked his partner for her support and dedicated the Award to all of his staff and those he worked with.
newspaper, “It was a tough year, and 2013
Steve Jenner, Festival Awards co-founder
was likely to see more smaller events fall by
commented: “It is pleasing to see so many
An article in The Guardian last week report-
the wayside. There was a time six to seven
first-time category winners breaking through
ed that this summer, Live Nation put on the
years ago when everybody thought you could
this year and indicative of the dynamic
largest series of live music events ever staged
put on a festival, the more quirky the better.
movementsin the market at this time. Much
in a single year by one company in the UK,
But the ones that have survived have been
more than winning gongs, though, the Festival
including the sold out Download in Donnig-
consistent and given the whole experience.”
Awards are about celebrating and uniting the
ton Park, as well as a series of events during
UK festival industry which, in these turbulent
the London Olympic Games. Probyn told the
times, is more vital than ever.”
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VIP NEWS >
DECEMBER 2012
Area4 Cancelled Manfred Tari mt@vip-booking.com
The Area 4 Festival was foundeVIPd in 2005
According to a press release by FKP Scorpio,
According to Folkert Koopmans, MD of FKP
by Konzertbüro Schöneberg and FKP Scorpio
the festival ran at a loss for some years. The
Scorpio, another reason for Area 4’s demise
and latterly located in Lüdinghausen, it is
set up of the event was a serious attempt to
was significant increases in outlay for health
probably the most prominent event to be
establish a festival in Northrhine Westphalia
& safety measures. Since the tragedy of the
cancelled in Germany since the departure of
(NRW) which also includes the Ruhr-District,
Loveparade in Duisburg in NRW in 2010,
the Bizzare Festival.
the most populated region in Germany.
requirementsby public authorities have drastically increased.
The Area 4 Festival is cancelled
Need to know who is touring Europe
charter for festivals ®
artists production crew cargo
vip-booking.com
Go online - www.vip-booking.com
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9 10 11 12 JANUARY 2013 GRONINGEN, THE NETHERLANDS
Eurosonic Noorderslag is the key exchange and networking platform for European music, European artists, international music industry professionals and organizations.
PREVIOUS EDITION IN NUMBERS: Total visitors Eurosonic Noorderslag (sold out) • 33,000 Visitors Conference (sold out) • 3,150 Nationalities • 41 Acts • 293 Media and journalists • 404 EBU radio stations • 28 ETEP festivals • 70 International festivals • 413 Number of stages Eurosonic • 34 Number of stages Noorderslag • 11
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VIP NEWS >
DECEMBER 2012
ADE 2012 – A Visitors Experience Manfred Tari mt@vip-booking.com
Well, again it appears that this year’s
Fed Conti
editionof Amsterdam Dance Event (ADE) was probablyone of the most successful international music conventions. ADE once again slightly increased visitor figures and continues to bring new formats such as ADE Playground, a docking element of the event for non-music companies and brands from the fashion and other sectors.
VIP-News spoke with Fed Conti, a UK based DJ and Producerand James Best of the Coach Night Club, Banbridgein the UK and John Massinade who journeyedall the way from Chile to visit ADE. What’s your opinion of ADE? James Best – This is my second year here, love it, This is my third year, wearing a t-shirt for a change as it’s almost sunny and I’ve met a lot of nice people. Fed Conti – Compared to past visits, because I’ve been here a few years ago from 2005 to 2009, there’s maybe a little difference as the conference is expanding year after year. In the beginning it was only three days, now it’s a five day event, which goes to show that this conference works. Certainly for me as a DJ-Producer it’s not only a place to promote and license the new available tracks, it’s also a place to find people in the business of live booking. Because now it’s not just records, now records and live-gigs are totally connected , and those markets help each other. So I think this is the best conference for bands and music-professionals. Business wise, was it okay for you? Best – Very good, I came here to approach
14
publishers and to get club-aggregators and
John, what attracts you to Amsterdam?
vocalists and I think I’ve done quite well so
John Massiande – In the first place the
far.
music. I was coming to Europe before I knew about the Amsterdam Dance Event. Then I
Conti – It’s not pure business, because when
heard about it and now I’m here. I’ve come
it was more about licensing you were maybe
here to look for something different than
received the request to licensing your tracks
what I see in my country, because I believe
just after the conference when getting back
that in the Chilean scene, people have been
to the office. Now it is a little bit different,
following too closely what Chilean-German
longer term investment especially, because
superstar DJs Ricardo Villalobos and Luciano
it’s more about the entire artist aspect. So it’s
have been doing, and not really connecting
not just the records, but also the entire artist-
with the roots of these genres of music
management.
(House/Techno). That’s what I look forward to doing, meeting great people who think
What was your favorite show?
and feel likewise, who are passionate for
Best – My favorite show must be Laidback
both the music and the knowledge and
Luke, that is the one I’ve been looking out
respectits true roots in a pure way. I believe I
for.
have achieved this so far.
Conti – My favorite show was at Ziggo
How did you hear about the ADE?
Dome, a big arena, for the Dirty Dutch
Massiande – I had to make a plan for my
ExodusParty, with Chuckie, Knife Party and
Europetour, so I checked the dates of
Porter Robinson.
everyonethat I’m a huge fan of and they are all here in Amsterdam.
VIP NEWS >
DECEMBER 2012
Which shows did you go to?
As a fan, what kind of events do you go
television. It may be that I decide that music
Massiande – This is my third day here, the
to?
has to be my life now, it might well be.
first day I met Heidi from Canada, and also
Massiande – I don’t anymore. I started as a
DJ Deep from France, they are all wonderful
DJ in 2007 and I stopped it in 2010 because
Do you purchase music online, or how
people and excellent artists.
I could not really meet people like me, as I
do you get it?
can here in Europe. That is why I come here
Massiande – I do, but I get a lot of promos
You’ve also got a t-shirt with you…
hoping to meet people who listen to and
and I share music as well with other DJ’s. I
Massiande – Yes, I think I have to keep a
love the same stuff as me. I really don’t go to
buy stuff that is really hard to find, mostly
memory of this, because this is my first time
clubs anymore. I try to make my own stuff, to
classic records, records that have been remas-
in Europe. I decided to do something that
make my own music trying to be an artist. I
tered, they’re the things that I really enjoy.
would remind me of all this.
don’t know exactly where I have to look, but
So, all the artists you’ve met signed your
I know that I can’t find thekind of music that
So, what else will you see at ADE and
I want in Chile.
have you enjoyed it?
t-shirt?
Massiande – Tonight I’m going to the
Massiande – Yes, everyone. It’s funny,
Do you also travel to the U.S?
Freerange-Record-Label show, tomorrow I’m
becausethey were all getting as excited as
Massiande – First I went to Argentina, I met
going to meet Joe Claussell, Daniel Howells,
me, as they knew that I come from so far
some Argentinean DJ-Friends first, the scene
and they are all good people. It has all been
away, from Chile. They’re all very happy.
is very different from Chile, it’s much bigger
much more than I expected, everyone has
there.
supported me in a good way.
Is Dance-Music big in Chile? Massiande – No, it’s not, it’s a very small
Will you come back to ADE next year?
scene in Chile, there is a very small group
Massiande– No, I think I have to sort out my
of people who handle it more as a business
life first because I have a full time job in
than a pure musical thing.
15
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VIP NEWS >
DECEMBER 2012
> INDEPTH STORY
Tim Chambers
– A Corporate Industry Analysis Manfred Tari mt@vip-booking.com Until September 2012 Tim Chambers served as
Whilst the event creation and promotion
ownershipof the [IP] assets, the length of any
Senior Vice President InternationalCorporate
processis a ‘creative act’ it is increasingly
venue management agreement, access to
Development at Live Nation Entertainment.
supportedby professionals from other
ancillary revenues etc.), and the opportunity
He has had a long career within the live music
disciplinesand skill-set’s to ensure a vibrant,
to increase future profitability (if only to pay
industry, starting in 1996 as General Manager
diverse and successful sector – the envy of
back any debt incurred by purchasing AEG)
at Brixton Academy, followedby stops at
many other industries.
but the final price paid will also reflect a
the McKenzie Group and Ticketweb, before
subjectivedesirability for the new owner
joiningTicketmaster UK in 2000.
Growth, so long as events continue to be
as well as any deal-tension caused by the
perceived as offering an unique and quality
numberof bidders.
In his latest position Chambers oversaw
experience with relative price sensitivity,
acquisitions of companies such as Ticknet in
will therefore continue to be experienced
You are familiar with M&A’s. Is the live
France and Servicaixa as well as partnerships
both within the global touring market (Lady
music business ready for a new round of
agreements for the global concert player.
Gaga, Madonna, Bon Jovi, Cirque Du Soleil,
corporatisation and consolidation?
Disney On ice, Walking With Dinosaur’s etc.)
– Yes, and it’s undoubtedly already underway.
VIP-News asked him to explain his view
as more international markets ‘emerge’,
The only thing guaranteed is that ‘change is
of the present situation and the outlook
and also within the local-language / single-
coming’.
for corporatecompanies and the concert
territorymarkets - whether Swedish Indie-
community.
Popor Bulgarian rock music etc.
The corporatisation of the live music
business is a relatively new development.
entertainment
Since AEG is for sale, are you rather
How do you think the near future for this
marke t in Europe, where do you see
expectingthat the Company will be
part of the music industry will develop?
growth potentialfor corporate concert
bought by a player who is already
– In the near future the live industry will look
companies?
familiarwith the music industry or by an
very similar, with operators at every level
investor wishing to enter this part of the
– small or large – continuing to evolve the
arguablyan indicator that the live music
market?
sector into new forms of entertainment and
industry is maturingand taking on various
– AEG, should it survive in either its current
strengthen in emerging territories. Potentially
responsibilitiesto
Looking
–
17
The
at
the
process
live
of
‘corporatisation’
both
consumer
is
and
form, or be sold off as (US) Sports, Venues
operators will either be attracted to become
regulatoryauthorities, the requirements of
& Live Music divisions, will attract interested
part of a formal corporate consolidation
fiscal & tax reporting, adherence to health
suitors from both within and external to the
such as LNE, CTS/Eventim, SMG etc., or
& safety legislation, agreements for trade
live industry.
furtherdevelopnetworks of like-minded
union representation etc., and reflective
but independentcompanies e.g. Association
that individualowner / operators are no
Aside from any economic analysis of
IndependentFestivals,
longer able to entirely self-fund without
AEG’s assets and performance metrics,
Forum, YOUROPE etc…
commerciallycombining with others.
live entertainmentis a particularly ‘sexy’
Music
Managers
commodityto be associated with, and so
Up till now the record industry didn’t
On the one hand this will lead to greater the normal expectations of commercial
undertake significant efforts to invest in
conglomeratesentering the sector whetherlive
Enterprise Value are sometimes exceeded
live music companies. Rather most record
industry specialists – venue operators/ festival
as would-be owners imagine their future
deals with young artists and talents
organisers / concert promoters/ ticketers - or
closenessto stars of sports and the arts.
foresee percentages deals that allows
other / newer entrants potentially such as
recordcompanies to benefit from income
recordcompanies, broadcasters, online media,
Commercial Diligence is likely to focuson
streams generated through live music. Is
socialnetworksand/or mobile operators etc.
the value of contracts held (percentage
that already the full extent of the idea
17
2012 2012 > INDEPTH STORY > DECEMBER > DECEMBER VIPVIP NEWS NEWS
While the business model of promoting
Data mining means a lot for the equity
concerts and live events more or less
story of Facebook and Google. Is the live
rmains the same, the ticketing business
music business already able to assemble
has to adapt to new and innovative and to exploit concert consumer data aptechnologiesand changing consumer propriately preferences.
you
– The required sophisticationof data-
consideras being most relevant for the
What
trends
do
warehousinghas yet to fully arrive within
ticketing business?
the live sector. However, this is increasingly
– Ticketing is a technology-based service
a focus for all B-2-C retailers and B-2-B
industrythat has two masters: the consumer
systemproviders and the ability to under-
and the client - whether artist, promoter ,
stand and then utilise consumer profiling will
venue , media partner or the sponsor.
be vitally important going forward. Within
Historicallythe development of technology
Europe though we have a set of consumer
(for instance call centres or the internet)
protectionstandards, which will restrict some
when combined with a financial incentive for
types of data-mining or abusive commercial
clients to externalise ticketing enabled some
exploitation of our personal data.
level of consolidation to a number of larger
Tim Chambers
Will RIFD-payment and access control
systems be the next big thing in the
of so called 360 degrees businessmodels
However, technical developments continue venueand event business?
within the music industry?
apace – ‘Paperless’, Mobile, RFID / NFC,
– The recent growth of “green field” RFID
–
18
operators.
The
recorded
music
industry
has
‘Bundling ’ (Ticket + Recorded Product ),
operator s will inevitably lead to the major
experienceda massive disruption to its
‘Packaging ’ (Ticket
and/or
venue system installers of Access Control
economicmodel over the last decade, and
Accommodation) and this has led to a further
and the various Payment Service Providers
althoughconsiderablysmaller in terms of
disruptionof service provision and pricing
seekingnew opportunities.
revenueand profitability than historical
and a greater number of operators within
levels , is arguably drawing upon a wider
the sector.
The task for all operators will be to show
pool of artistsand genres – K-Pop, Bhangra,
the event producers why the incremental
or Dutch Gabber Techno – and still able to
The ease of market entry for a single- costs associated with RFID (e.g. installation,
quickly market its products to a localand/
languageterritory GA (General Admission)
hardware, licensing, training, power, system
or global audience. Its key issue remains the
ticketing software or Secondary Ticketing
redundancy etc.) can lead to either lower
monetisation of its business and that will
marketplace has never been lower, but the
costs (security, events going ‘cashless’)
inevitablylead the leading players to continue
skill and ingenuity of those larger operators
or raise revenues (through advertising &
to review linked-opportunities withinthe live
who repeatedly, robustly and reliably offer
sponsorship, or geo-positional data-mining.
sector. This will take various forms ranging
a “bureau” service across multiple territories
from record companies owninglive concert
should not be underestimated.
Looking into the situation for business
promoters (as already occurs in a number of
newbies, what is more likely for them,
European territories), the development of
However, the task for all ticketers going a career as entrepreneurs or employees?
artist-related services e.g. fan clubs, or the
forwardis to become more social in their
– Both. As an old mentor Tony Wilson often
bundling of recorded product with ticketing
dealingswith consumers (personalopt-in
stated, “There are those on stage, and then
and/or merchandise, as well as the continued
with relevant & appropriate communications),
there are the secondary artists who enable
extension of artist contracts to directly
more flexible in their distributionand
those others to perform”.
includelive revenues.
marketingof tickets (API’s betweennumerous
Live is an industry that requires a team ethic,
systems and functionsis a key technical issue),
is always exciting to be involved within,
The ultimate expression of the “360” model
and more transparent in their pricing – this
althoughrarely equally rewards all involved.
could be the bringing together of a global
ultimatelymeans explainingto both the client
It is however a great industry to work within
recordcompany
international
and the consumerwhere the variousrebates,
and the future will undoubtedly be better
concertp romoter & ticketer – obviously
commissionsand other costs of businessare
than the past.
dependentupon regulatory approval within
incurred and distributed (ticketing’ s ‘dirty
the US and Brussels.
secret’).
with
an
+
Travel
VIP NEWS > BUSINESS > DECEMBER 2012
MUSIC IN SHARES
Music in Shares Manfred Tari mt@vip-booking.com
CTS Eventim
Live Nation
A Prosperous 9-Months A Corporate Saga
Yes, the revenue is rising, but the resulting profit can easily be misinterpreted. Within the first nine months Live Nation has been able to increase its revenue results from $4.198 in the same period last year up to $4.381 billion. The company operating income also rose from CTS reports growths for the main company results, despite a revenue
$85 to $104.7 million, while the diluted net loss per share is reported
decline for its ticketing division. The company revenue moved up
with $0.02.
from 345.9 to 362.7 million Euros a rise of 4.8 percent. The Earnings before Interests, Taxes, Depreciation and Amortisation (EBITDA) rose
Anyhow Michael Rapino, CEO of Live Nation Entertainment concludes:
28 percent from 55.7 up to 71.3 million Euro, the Earnings before
“For the quarter, global concert attendance is up 2 percent and ticket
Interests and Taxes (EBIT) growing 39.5 percent from 39 up to 54.4
sales for Ticketmaster increased 3 percent. We expect to have continued
million Euros.
growth in ticket sales in the fourth quarter, as compared to last year, for both Concerts and Ticketmaster. As a result, we currently anticipate
Within the ticketing division revenue declined from 151.1 to 140.1
growth across Concerts, Ticketing and Sponsorship & Advertising for
million Euros. CTS Eventim declared that in 2011 this part of the
the fourth quarter and full year.”
companybenefited from sport events such as the Football World Cup for Women in Germany and that this year’s events such as the
In Q3 alone the revenue of the concert division was $1.4 billion
UEFA-Cup and the Olympic Games lead to a lower figure of events
comparedto $1.2 billion one year ago. For the 9 months period the
in general.
concert revenue rose 5.1 percent from $2.81 to $2.95 billion. The ticketingdepartment moved within the last nine months from $966.7
Nevertheless for its Live Entertainment division CTS Eventim reported
up to $1001.5 million, the department Artist Nation from $293.9
an increase in turnover of 13.8 percent, from 198.9 up to 226.4 million
up to $298.6 million. Percentage-wise the biggest gain has been in
Euros. The profits reached record increases within this segment, with
Sponsorship& Advertising which moved up 5.9 percent from $182.5
the EBITDA moving up 57 percent from 14.7 to 23 million Euro, the
to $193.2 million.
EBIT even hit 62.3 percent, leaping up to 21.5 compared to 13.2 millionEuro one year ago. The company also expect to deliver strong results in the fourth quarter (Q4) and state that upcoming tours of acts such as Pink, Depeche Mode, Roger Waters, Linkin Park, KISS, Joe Cocker, Rihanna, Eric Clapton will backing this trend.
19
2012 > DECEMBER VIP NEWS > DECEMBER BUSINESS
MUSIC IN SHARES
DEAG
HMV
A Promising 12 Months
sells MAMA Group
Germany’s other stock market listed concert company announced
HMV finally sold its MAMA stake to Juno Newco Limited, a subsidiary
that it expects a revenue result of 160 million Euros for the ongoing
of Lloyds Development Capital Limited. The purchase price was £7.3
business year. Within the nine months business report the revenue
million, but does not include the G-A-Y Group Limited and Heaven
went up from 93.9 to 96.5 million Euros. The EBIT went down from
(London) Limited.
5.8 to 4.2 million. As the company stated, the earnings results are affected by advance expenses for events to take place in the fourth
The UK-trade paper Musicweek reported that the company address of
quarter.
Juno Newco is the same as that of MAMA Festivals Ltd. and Lovebox Festivals Ltd and speculated that the reason for this might be a
However, the board of DEAG believe that, “the trend suggests that
managementbuy out deal financed by Lloyds.
the strong Q4/2012, as the dominating quarter of the full year, will continue in fiscal 2013 with very positive ticket sales and a strong
HMV bought the MAMA Group at the end of 2009 for £46m. Earlier
event pipeline.”
this year the Hammersmith Apollo, which previously belonged to the company portfolio, was sold to a CTS Eventim and AEG joint venture.
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MONTHLY FEATURED ARTIST POWERED BY
ARTIST AVAILS Chic Feat. Nile Rodgers Territory: Europe Period: 2013 Agency: GLP Agent: Georg Leitner E-mail: gleitner@glp.at
WINTERGARDEN
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TV Off Territory: Europe Period: 2013 Agency: RedBerg Agency Agent: Juha Juoni E-mail: juha.juoni@redberg.fi Homepage: www.redberg.fi
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WINTERGARDEN is the musical creation of international singer, songwriter,
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performerand session vocalist Miriam Gardner. The English/Danish songstress had been singing her own pop/soul songs for years and after releasing her debut double album “Ultimatum”, she started to seek new ways of musical expression, and turned to her metal guitarist and producerhusband for inspiration and co-writing.
Big Mountain Territory: World Period: 2013 Agency: GLP Agent: Walter Laurer E-mail: wlaurer@glp.at Homepage: www.glp.a
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WINTERGARDEN is a melodic pop / metal band with strong commercial appeal, being musically inspired by such bands as Breaking Benjamin, Sevendust and Evanessance. The combination of these influences has already aided WINTERGARDENin attracting the attention of several interested labels both at home and abroad. At present Miriam’s company VOCAL STATION is producing a debut album and 3 music video’s for re- lease early next year, and has also gathered a band together for the live set up, and will be intially releasing thier first single/Ep in September 2011 Origin: Denmark (DK) Read more about WINTERGARDEN: http://www.click-a-gig.dk/epk/42/bio
THE DOORS ALIVE
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VIP NEWS > MISC > DECEMBER 2012
MEMBER PRESENTATION
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